Drawing from social network theory with a focus on the ties perspective, the main purpose of this study is to examine the influence of internal business group network and external business network on organizational learning capability and new product development in the business group member firms. The authors test the idea using a sample of 132 business group member firms of the 65 Taiwanese business groups. More specifically, our empirical analysis suggests that the bridge ties both in the business group network and business network are positively related to knowledge absorptive capability. Furthermore, the strong ties in the business group network are positively related to knowledge integrate capability, but are not related to knowledge integrative capability in the business network. Last, the organizational learning capabilities (knowledge absorptive capability and knowledge integrative capability) are positively related to new product development performance. This study also provides some discussion, suggestions and managerial implications for the future research and practical efforts.